Market Segmentation

1. Go to the Nielsen/Claritas website ( and click on “ZIP Code Look-Up.” there you will find a demo that allows you to type in a zip code of your choice and find out what PRIZM clusters predominate in that geographic area.

a. What zip code and city did you look up? 11354 Flushing,NY
What do the findings tell you about the overall composition of potential customers within that zip code?

b. Based on the array of clusters represented, what kinds of businesses might flourish within that geographic area? Be specific. Why do you believe those businesses in particular would be successful?

2. Go to the SRI Consulting Business Intelligence website: ( and go to VALS on the left column. Find the VALS survey under “Take the VALS Survey” and complete the questionnaire.

a. What were your results? Did your results surprise you? Why or why not? Do you see yourself as part of the identified VALS segment?

b. E-mail two or three other people in the class and discuss both your results and theirs. Who did you e-mail in the class? What were their results? Did they agree or disagree with their results? What parts did they agree with? Disagree with? Based on your e-mail conversations, do you feel the survey actually captured a relevant profile of yourself and your classmates? Discuss. (Do not just look at discussion postings but actually have a more in-depth e-mail discussion.)

c. How might each of these brands benefit from the use of VALS as a psychographic segmentation tool and what segments should each target?
• Harley Davidson Motorcycles (
• Kings Island Theme Park (
• Lowe’s Home Improvement Stores (
• Kia Cars (

3. Discuss how your own organization could use and benefit from this type of market segmentation information.


preview of the answer..

In the Nielson/Claritas website under the ZIP code-lookup section, I searched for the ZIP code 11354. This ZIP code represents Flushing, NY. According to the results on the website, the region is composed of mainly middle aged people between 21 and 34 years old. However, the highest population in the region is aged between 55 and 64 years. The household composition of the people in the ZIP code is made up of mostly three or less people. In the different households, a bigger portion of the inhabitants do not have children. This therefore means that the majority of the people in this region are self-dependent. The dependency rate in the ZIP code region is low.

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